At the meeting held today, 28 March, the Supervisory Board of the State
Forest Management Centre (RMK) approved the 2007 audited financial
results for RMK.

According to RMKs audited financial results for 2007, the manager of
the state forest earned a return on sales in the amount of BEEK 1.595,
which is 41% or MEEK 467 more than in 2006. RMK earned most of the
income from selling the cutting rights to growing forest and timber.
Return on sales mainly increased due to an average increase of 60% in
the sales price of timber since May.

In 2007, RMK sold growing forest cutting rights to 21.3 thousand cubic
metres of timber for MEEK 3.9, at an average price of EEK 183 per cubic
metre. The sale of cutting rights to sanitary cutting made up about 98%
of it.

In the year preceding last year, RMK sold 127.2 thousand cubic metres
of timber as cutting rights for growing forest for MEEK 35.5, at an
average price of EEK 278 per cubic metre. The sale of cutting rights to
sanitary cutting made up about 24% of it.

As felled timber, RMK sold 1.98 million cubic metres of timber for BEEK
1.468, at an average price of EEK 740 per cubic metre. The sales volume
was made up of 71.6% from regeneration cutting, 20.5% from thinning and
7.9% from sanitary cutting of timber.

In 2006, RMK sold 1.97 million cubic metres of timber for MEEK 987.2, with an average price of EEK 500 per cubic metre.

RMK calculates 26% of the revenue collected comes from the sale of
regeneration cutting rights and timber through regeneration cutting,
from which the expenses related to the processing, transport and sale
of timber have been deducted, into revenue from forests that is paid
into the state budget. For 2007, RMK will pay MEEK 228.2 as forest
revenue from forests to the state budget, which is MEEK 29 more than in
2006.

RMK is a profit-making state agency established under the Forestry Act,
aimed at the sustainable and efficient management of the state forest.
In addition to this, RMK creates possibilities for forest holidays and
shapes nature awareness. RMK manages 38% of Estonian forests.